One of the most important phases of the marketing plan is the optimization and refinement, during the analytics step. This is the process of improving the marketing efforts of an organization to maximize the desired business outcomes. There are many metrics, apart from the AIDA model components’ metric, that can be used to keep track of a campaign’s performance, such as Marketing Spend, Reach & Frequency, Impressions, and most importantly, Marketing Return of Investment (ROI). All these metrics help in making sure the campaign’s results are the ones expected and determined during the marketing plan.
As mentioned, one of the most popular metrics is the Marketing ROI, which can be calculated for the whole campaign or for each campaign element, in order to make a more detailed analysis, and identify which element could be improved in the marketing plan. The way to calculate the ROI is by applying the following formula: Gains from investment or net profits minus cost of investment, divided by the cost of investment. This could help justify marketing spend and budget allocation for ongoing or future marketing campaigns or initiatives.
Overall market analytics, the re-examination of business objectives based on data, choosing new KPIs to track progress, and taking steps to understand your audience better are all part of the optimization and refinement process to ensure that all digital marketing efforts are relevant, targeted, and personalized.